Seán Sherlock (Cork East, Labour)
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268. To ask the Minister for Finance if his attention has been drawn to recent media reports that the ECB has purchased millions of dollars in bonds issued by companies linked to deforestation of the Amazon Rainforest; and if he will make a statement on the matter. [51232/22]

Paschal Donohoe (Dublin Central, Fine Gael)
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I wish to advise the Deputy that I am aware of the recent media reports regarding bond purchases made by the ECB.

I am advised that the ECB is also aware of reports concerning corporate bond purchases under the Corporate Sector Purchase Programme (CSPP). The list of corporate bond securities held under the CSPP/PEPP as of October 2022 is available on the ECB website at the location in this link.

www.ecb.europa.eu/mopo/implement/app/html/index.en.html

The ECB further advises that the Eurosystem does not publish a detailed breakdown of its corporate bond holdings by issuer. Such disclosure could compromise the effectiveness of monetary policy and impair the ECB’s ability to pursue its primary objective of price stability. However, the Eurosystem remains committed to being as transparent as possible. It will therefore continue to publish breakdowns by country, rating and industry sector every six months.

www.ecb.europa.eu/mopo/implement/app/html/ecb.cspp_climate_change-faq.en.html

I understand that the Eurosystem aims to gradually decarbonise its corporate bond holdings, on a path aligned with the goals of the Paris Agreement. To that end, the Eurosystem will tilt these holdings towards issuers with better climate performance through the reinvestment of the sizeable redemptions expected over the coming years. The ECB will start disclosing climate-related information on its corporate bond holdings in the first quarter of 2023.

Further information on the above matters is available in the FAQ factsheet available on the ECB website at this link.

www.ecb.europa.eu/mopo/implement/app/html/ecb.cspp_climate_change-faq.en.html